Taxes on Long Term Capital Gain Long term capital gain is taxed @ 20% plus applicable surcharge and cess. If listed shares/ securities/ units are transferred and the benefit of indexation is not taken, than long-term capital gain is taxable @ 10% plus applicable surcharge and cess (this is an option to assessee. Assessee can take benefit of indexation and pay 20%) . However in case of Long term capital gains u/s 115AB, 115AC, 115AD and 115AE the rate of tax shall be taxed at flat rate of 10%. In following long term capital gain benefit of Indexation is not available :- 1. Bonds or Debentures (other than capital indexed bonds issued by government of India) 2. Shares or debenture acquired by NRI by utilizing convertible foreign exchange. 3. Depreciable Assets. (Always Short Term Capital Gain) 4. Slump Sale (Where complete business is sold) 5. Transaction in GDR by resident and non resident. 6. Unit purchased by off shore fund in foreign currency. 7. Transaction by FII.
Posted on: Fri, 07 Mar 2014 10:34:21 +0000
Trending Topics
Recently Viewed Topics
© 2015